Kingstone Companies, Inc. (Nasdaq:KINS) (the "Company" or
"Kingstone"), a multi-line property and casualty insurance holding
company, today announced its financial results for the quarter ended
June 30, 2018.

Financial and Operational Highlights

2018 Second Quarter

(All results are compared to prior year period unless otherwise noted)

Net income increased 9.8% to $2.8 million or $0.25 per diluted share

Net operating income1 increased 17.1% to $2.8 million or
$0.26 per diluted share

Net premiums earned increased 42.2% to $24.1 million

Direct written premiums increased 21.0%; Personal lines grew by 28.1%

Net combined ratio of 84.2% compared to 77.6%

Return on average common equity (annualized) of 12.5% up from 11.3%

Operating return on average common equity (annualized)1 of
12.9% up from 10.9%

____________________

1 These measures are not based on GAAP and are defined and
reconciled to the most directly comparable GAAP measures in "Additional
Financial Information for Q2 2018" (visit www.kingstonecompanies.com).

Quarterly Dividend of $0.10 per share

The Company announced that its Board of Directors declared a quarterly
dividend of $0.10 per share payable on September 14, 2018 to
stockholders of record at the close of business on August 31, 2018. This
is Kingstone's 29th consecutive quarterly dividend.

Management Commentary

Barry Goldstein, Kingstone's Chairman and CEO, commented "Long term
plans come to realization by setting out short term goals. Becoming a
northeast regional carrier is our objective, and with new business
coming in from New Jersey, Rhode Island, Massachusetts and Pennsylvania,
in addition to our home state of New York, we are well on our way. We
are licensed in three additional New England states in which we hope to
begin business by year end 2019.

As we grow and expand, there are many moving parts to consider. The
quarterly growth in direct written premiums was 21%. The 42% increase in
net premiums earned over the same period last year reflects this organic
growth, aided in part by the reduction in quota share for personal
lines. As we enter new states it takes time for the premiums to catch up
to the initial expenses. That, coupled with the cutback in ceding
commissions, has increased the expense ratio 4.2 points. Yet, we still
posted a very satisfying 84.2% net combined ratio which includes 1.3
points of impact from catastrophes (0.0% in 2017). Second quarter Net
Operating income grew by $.41 million to $2.84 million, up 17.1% over
the prior year, in spite of our incurring interest expense of $.45
million ($0 in 2017)."

Dale Thatcher, Kingstone's Chief Operating Officer, continued, "I'm very
pleased to see almost all measures moving in a positive direction. We
are managing substantial growth while maintaining a mid-80's combined
ratio and increasing our return on equity to 12.5% - a great reflection
of how we are putting our new capital to work for our shareholders. We
are currently leveraged at 1.1 to 1 premiums to surplus, and look to
move that over time into the 1.5 to 1 range so that we can most
efficiently generate returns. We still expect to achieve a combined
ratio, excluding cat losses, of between a 79% and 85% for the full year
and cat losses of between 5 points and 7.5 points on the combined ratio
for the full year."

Financial Highlights Table

Three Months Ended

Six Months Ended

June 30,

June 30,

($ in thousands except per share data)

2018

2017

% Change

2018

2017

% Change

Direct written premiums

$

36,864

$

30,458

21.0

%

$

68,390

$

56,584

20.9

%

Net written premiums

$

27,965

$

19,727

41.8

%

$

51,665

$

36,462

41.7

%

Net premiums earned

$

24,105

$

16,954

42.2

%

$

46,942

$

33,323

40.9

%

Total ceding commission revenue

$

1,691

$

3,306

-48.9

%

$

3,386

$

6,490

-47.8

%

Net investment income

$

1,557

$

1,026

51.8

%

$

2,941

$

1,884

56.1

%

U.S. GAAP Net income

$

2,757

$

2,510

9.8

%

$

39

$

3,981

-99.0

%

U.S. GAAP Diluted EPS

$

0.25

$

0.23

8.7

%

$

0.00

$

0.39

-100.0

%

Comprehensive income (loss)

$

1,651

$

3,052

-45.9

%

$

(3,144

)

$

4,905

-164.1

%

Net operating income*

$

2,842

$

2,426

17.1

%

$

537

$

3,931

-86.3

%

Net operating income diluted EPS*

$

0.26

$

0.22

18.2

%

$

0.05

$

0.38

-86.8

%

Return on average equity (annualized)

12.5

%

11.3

%

1.2 pts

0.1

%

10.8

%

-10.7 pts

Net loss ratio

46.4

%

44.0

%

2.4 pts

60.6

%

47.3

%

13.3 pts

Net underwriting expense ratio

37.8

%

33.6

%

4.2 pts

38.2

%

34.1

%

4.1 pts

Net combined ratio

84.2

%

77.6

%

6.6 pts

98.8

%

81.4

%

17.4 pts

Effect of catastrophes on net combined ratio

1.3 pts

0 pts

1.3 pts

13 pts

0 pts

13 pts

Net combined ratio excluding the effect

of catastrophes*

82.9

%

77.6

%

5.3 pts

85.8

%

81.4

%

4.4 pts

* These measures are not based on GAAP and are defined and
reconciled to the most directly comparable GAAP measures in
"information Regarding Non-GAAP Measures."

2018 Second Quarter Financial Review

Net Income:

Net income increased by 9.8% to $2.76 million during the three month
period ended June 30, 2018, compared to net income of $2.51 million in
the prior-year period. The increase in net income can be attributed
primarily to a 42.2% increase in net premiums earned and a reduction in
corporate income tax rates, partially offset by a 2.4 point increase in
net loss ratio and a $1.6 million decrease in ceding commission revenue.

Earnings per share ("EPS"):

Kingstone reported EPS of $0.25 per diluted share for the three months
ended June 30, 2018, compared to $0.23 per diluted share for the three
months ended June 30, 2017. EPS for the three month periods ended June
30, 2018 and 2017 was based on 10.82 million weighted average diluted
shares outstanding for both periods.

Direct written premiums for the second quarter of 2018 were $36.9
million, an increase of 21.0% from $30.5 million in the prior year
period. The increase is primarily attributable to a 20.3% increase in
the total number of policies in-force as of June 30, 2018 as compared to
June 30, 2017.

Net written premiums increased 41.8% to $28.0 million during the three
month period ended June 30, 2018 from $19.7 million in the prior year
period.

Net premiums earned for the quarter ended June 30, 2018 increased 42.2%
to $24.1 million, compared to $17.0 million in the quarter ended June
30, 2017.

Net Loss Ratio:

For the quarter ended June 30, 2018, the Company's net loss ratio was
46.4% compared to 44.0% in the prior period. The increase in the second
quarter 2018 net loss ratio included 0.8 points from catastrophes
recorded during the quarter, as well as some increases to weather claims
from the fourth quarter 2017 and liability claims from prior periods.

Net Other Underwriting Expense Ratio:

For the quarter ended June 30, 2018, the net underwriting expense ratio
was 37.8% as compared to 33.6% in the prior year period. The increase of
4.2 percentage points was largely due to a decrease in ceding commission
revenue resulting from both the reduction of our personal lines quota
share reinsurance rate to 20% on July 1, 2017, from the prior rate of
40%, and from a $0.3 million decrease in contingent ceding commissions.
The change in quota share rates results in a significant decrease in
ceding commission revenue and an increase in net premiums earned.

We refer to our New York business as "Core" 1 and the
business in newly licensed states as "Expansion". The inception of our
Expansion business in 2017 creates a lag in net premiums earned related
to that business. This lag and the changes to quota share rates distort
net underwriting expense ratio comparisons between periods. Therefore,
we believe that utilizing the ratio of Core other underwriting expenses1
to Core direct written premiums1 offers a more consistent
comparison between periods. The Core other underwriting expense ratio
excludes start-up expenses related to Expansion business. The ratio of
Core other underwriting expenses to Core direct written premiums
increased by less than 1 percentage point for the three months ended
June 30, 2018 compared to the prior year period.

Net Combined Ratio:

Kingstone's net combined ratio was 84.2% for the three month period
ended June 30, 2018, compared to 77.6% for the prior year period.

Balance Sheet / Investment Portfolio

Kingstone's cash and investment holdings were $186.3 million at June 30,
2018 compared to $143.4 million at June 30, 2017. The Company's
investment holdings are comprised primarily of investment grade
corporate, mortgage-backed and municipal securities, with fixed income
investments representing approximately 89.5% of total investments at
June 30, 2018 and 90.9% at June 30, 2017. The Company's effective
duration on its fixed-income portfolio is 5.1 years.

____________________

1 These measures are not based on GAAP and are defined and
reconciled to the most directly comparable GAAP measures in "Additional
Financial Information for Q2 2018" (visit www.kingstonecompanies.com).

Net investment income increased 51.8% to $1,557,000 for the second
quarter of 2018 from $1,026,000 in the prior year period, largely due to
an increase in invested assets.

Accumulated Other Comprehensive Income/Loss
(AOCI), net of tax

As of June 30, 2018, AOCI was $(2.50) million compared to $1.00 million
at June 30, 2017.

The webcast will be archived and accessible for approximately 30 days.

Definitions and Non-GAAP Measures

Direct written premiums represents
the total premiums charged on policies issued by the Company during the
respective fiscal period. Net premiums written
are direct written premiums less premiums ceded to reinsurers. Net
premiums earned are net premiums written that are pro-rata earned during
the fiscal period presented. All of the Company's policies are written
for a twelve month period. Management uses direct written premiums and
net written premiums, along with other measures, to gauge the Company's
performance and evaluate results.

Core direct written premiums-
represents the total premiums charged on policies issued by the Company
during the respective fiscal period from its business located in New
York.

Expansion direct written premiums-
represents the total premiums charged on policies issued by the Company
during the respective fiscal period from its business located in newly
licensed states (i.e., outside New York).

Core other underwriting expenses
- represents the total other underwriting expenses incurred by the
Company during the respective fiscal period from its business located in
New York.

Expansion other underwriting expenses
- represents the total other underwriting expenses incurred by the
Company during the respective fiscal period from its business located in
newly licensed states (i.e., outside New York).

Net operating income - is net income
exclusive of realized investment gains, net of tax. Net income is the
GAAP measure most closely comparable to net operating income.

Operating return on average common equity
- is net operating income divided by average common equity. Return on
average common equity is the GAAP measure most closely comparable to
operating return on average common equity.

Management uses net operating income and operating return on average
common equity, along with other measures, to gauge the Company's
performance and evaluate results, which can be skewed when including
realized investment gains, which may vary significantly between periods.
Net operating income and operating return on average common equity are
provided as supplemental information, are not a substitute for net
income or return on average common equity and do not reflect the
Company's overall profitability or return on average common equity.

Net combined ratio excluding the effect of
catastrophes - is a non-GAAP ratio, which is computed as the
difference between GAAP net combined ratio and the effect of
catastrophes on the net combined ratio. We believe that this ratio is
useful to investors and it is used by management to reveal the trends in
our business that may be obscured by catastrophe losses. Catastrophe
losses cause our loss trends to vary significantly between periods as a
result of their incidence of occurrence and magnitude, and can have a
significant impact on the net combined ratio. We believe it is useful
for investors to evaluate this component separately and in the aggregate
when reviewing our underwriting performance. We also provide it to
facilitate a comparison to our outlook on the net combined ratio
excluding the effect of catastrophes. The most directly comparable GAAP
measure is the net combined ratio. The net combined ratio excluding the
effect of catastrophes should not be considered a substitute for the net
combined ratio and does not reflect the Company's net combined ratio.

About Kingstone Companies, Inc.

Kingstone is a property and casualty insurance holding company whose
principal operating subsidiary, Kingstone Insurance Company, is
domiciled in the State of New York. Kingstone is a multi-line property
and casualty insurance company writing business exclusively through
independent retail and wholesale agents and brokers. Kingstone is
licensed to write insurance policies in New York, New Jersey,
Pennsylvania, Connecticut, Massachusetts, Rhode Island, Maine, New
Hampshire and Texas. Kingstone offers property and casualty insurance
products to individuals and small businesses in New York, New Jersey,
Rhode Island, Massachusetts and Pennsylvania.

Forward-Looking Statement

Statements in this press release may contain "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. All statements, other than statements of historical
facts, may be forward-looking statements. These statements are based on
management's current expectations and are subject to uncertainty and
changes in circumstances. These statements involve risks and
uncertainties that could cause actual results to differ materially from
those included in forward-looking statements due to a variety of
factors. More information about these factors can be found in
Kingstone's filings with the Securities and Exchange Commission,
including its latest Annual Report filed with the Securities and
Exchange Commission on Form 10-K. Kingstone undertakes no obligation to
publicly update or revise any forward-looking statements, whether as a
result of new information, future events or otherwise.